What is SNX coin? What does SNX mean?

Synthetix (SNX) is a blockchain-based decentralized platform for issuing and trading synthetic assets that track the prices of real-world assets, backed by collateralized SNX tokens and governed by SNX holders.

Oct 01, 2024 at 11:06 am

1. What is SNX Coin?

Synthetix Network Token (SNX) is a native cryptocurrency and governance token for the Synthetix platform, a decentralized synthetic asset issuance protocol.

2. What does SNX Mean?

SNX stands for "Synthetix". The coin derives its name from the platform's ability to create "synthetic assets", which track the price of real-world assets such as fiat currencies, commodities, and stocks.

3. What is the Purpose of SNX?

SNX serves several purposes within the Synthetix ecosystem:

Collateralization: SNX tokens are staked as collateral to issue and maintain synthetic assets.
Governance: SNX holders have voting rights on platform decisions and proposals.
Transaction fees: SNX is used to pay network transaction fees.
Incentivization: SNX holders are rewarded with inflation rewards for staking their tokens.

4. How does SNX Work?

The Synthetix platform uses a two-token system:

SNX Token: The collateral token used to maintain synthetic assets.
Synth Tokens: Synthetic assets that track the price of real-world assets.

Users can stake SNX tokens to mint Synth tokens, provided they meet the required collateralization ratio. This process allows users to access and trade synthetic assets without holding the underlying asset directly.

5. Key Features of SNX:

Decentralized synthetic asset protocol
Collateralized by SNX tokens
Governance system driven by SNX holders
Utility for transaction fees and incentivization
Enables seamless trading of synthetic assets

Disclaimer:info@kdj.com

The information provided is not trading advice. kdj.com does not assume any responsibility for any investments made based on the information provided in this article. Cryptocurrencies are highly volatile and it is highly recommended that you invest with caution after thorough research！

If you believe that the content used on this website infringes your copyright, please contact us immediately (info@kdj.com) and we will delete it promptly.

Fear & Greed Index

Trade Now

Biggest Gainers

SWARMS

$0.1601

57.41%

Trade Now
ANT

$3.8907

44.82%

Trade Now
GRIFT

$0.1254

38.84%

Trade Now
BUZZ

$0.1058

38.64%

Trade Now
ASM

$0.0792

36.39%

Trade Now
PIPPIN

$0.1310

33.52%

Trade Now

Latest Crypto News

Top 4 Bullish Cryptos Poised to Lead the Market in 2025: BlockDAG (BDAG), Solana (SOL), Polkadot (DOT), and XRP
2025-01-21 08:55:40
Investor Chris Burniske Says Donald Trump's Official Memecoin TRUMP Could Usher in a New Phase of Free Experimentation and Capital Flows in the Crypto Space
2025-01-21 08:50:40
President Donald Trump and First Lady Melania Trump Criticized for Launching 'Meme Coins' Ahead of Inauguration
2025-01-21 08:50:40
Top 4 Crypto Coins to Buy in 2025: Enhance Your Portfolio with BlockDAG, Cardano, Hedera, & Dogecoin!
2025-01-21 08:50:40
$TRUMP Memecoin Inspired by U.S. President Donald Trump Secures Listings on Major Exchanges
2025-01-21 08:50:40
Analyzing why whales are accumulating Stellar, Sui, Kaspa, and XYZVerse
2025-01-21 08:50:40

Related knowledge

How to open a defi project

Jan 17,2025 at 07:18am

Hey there, DeFi newbies!So, you've been hearing the buzz about DeFi, but it all sounds like gibberish to you? Don't worry, I got you. I'm here to hold your hand and guide you through the wild world of DeFi, step by step, in a way that even a caveman could understand.What the heck is DeFi anyway?Think of DeFi as the cool new kid on the blockchain block. ...

How to trade defi

Jan 16,2025 at 05:24pm

Unlocking the Secrets of DeFi Trading: A Beginner's Guide for the Crypto-CuriousHey there, crypto newbies! Welcome to the wild and wacky world of decentralized finance, or DeFi for short. It's like the cool kid on the block, shaking up the traditional financial system with its flashy tech and mind-blowing possibilities. But don't worry, I'm here to brea...

How to build a defi project

Jan 17,2025 at 06:30pm

Yo, DeFi Newbies! Let's Dive into the Wild World of Decentralized FinanceWelcome to the wild, wild world of DeFi, where you're the boss of your own dough! But before you go all "HODL" and start slinging crypto left and right, let's break down the basics and show you how to build that DeFi project you've been dreaming of.Chapter 1: Get Your DeFi Mojo Flo...

How the price of defi coins is generated

Jan 17,2025 at 01:48pm

Yo, DeFi Newbies! Let's Get Real About Defi Coin PricesHey there, fellow DeFi explorers! Welcome to the wild and wonderful world of decentralized finance. I know, it can be a bit of a head-scratcher at first, especially when it comes to figuring out how the prices of these DeFi coins are cooked up. But fear not, young grasshopper, for I'm here to break ...

What is the future of defi currency?

Jan 17,2025 at 07:07pm

Yo, DeFi Newbies! Brace Yourselves for the Future of MoneyHey there, fellow crypto enthusiasts! If you're new to the wild world of DeFi (decentralized finance), buckle up because we're about to dive into the future of money. Get ready for a rollercoaster ride of innovation, disruption, and maybe even a few hiccups along the way.What's the Hype About DeF...

How to learn defi systematically

Jan 16,2025 at 10:42pm

Yo, DeFi Newbie! Let's Dive into the World of Decentralized Finance Like a BossHey there, DeFi newbie! I know you're probably feeling a bit overwhelmed by all the buzz and jargon surrounding decentralized finance. But don't you worry, I've got you covered. We're gonna break down DeFi into bite-sized chunks that even a total beginner can understand.What ...